The question of when we can expect a sustainable recovery continues to weigh heavy on the minds of market participants, and unfortunately there's no straight forward answer as the recovery timescale is entirely dependent on the global confirmed cases, fatalities, and the progress of vaccines.
The continued market decline as we approach the weekend is a concern; however, I'm closely monitoring the weekly time horizon to provide a subtle indication that a recovery is beginning to develop.
The screenshot attached above displays the present weekly oversold status compared to similar market conditions back in the 2002 and 2008 financial crisis.
The image clearly highlights the severity of the current market conditions; however, notice on both occasions a bull market followed, and therefore creating an immense opportunity for those market participants who prepared ahead of time.
I've attached a second screenshot that displays daily bullish divergence, enhancing the argument that markets are beginning to provide subtle indications of recovery.
It's crucial market participants understand that while early indications point to a recovery, markets can remain in overextended conditions for a period of months, and occasionally years, and therefore investment opportunities like this require time to develop.
The technical simplicity of this material often prevails above complex analysis; however, this information should be utilised in conjunction with your preferred analysis to ensure the highest probability of success can be achieved.
The continued market decline as we approach the weekend is a concern; however, I'm closely monitoring the weekly time horizon to provide a subtle indication that a recovery is beginning to develop.
The screenshot attached above displays the present weekly oversold status compared to similar market conditions back in the 2002 and 2008 financial crisis.
The image clearly highlights the severity of the current market conditions; however, notice on both occasions a bull market followed, and therefore creating an immense opportunity for those market participants who prepared ahead of time.
I've attached a second screenshot that displays daily bullish divergence, enhancing the argument that markets are beginning to provide subtle indications of recovery.
It's crucial market participants understand that while early indications point to a recovery, markets can remain in overextended conditions for a period of months, and occasionally years, and therefore investment opportunities like this require time to develop.
The technical simplicity of this material often prevails above complex analysis; however, this information should be utilised in conjunction with your preferred analysis to ensure the highest probability of success can be achieved.